FundPatron Capital, L.P. IV
LocationBerlin
Inv. DateSeptember 2011
Inv. StrategyUndervalued Assets
  • Office building of approximately 16,000 sqm - one 10 storey and one 3 storey in Berlin-Mitte, close to Alexanderplatz
  • The strategy is to refurbish and relet to create a stable income generating asset in a central location
  • Mollstrasse Redevelopment - May - July 2013 (Slideshow)
  • Mollstrasse Redevelopment - 6th Floor, 9th July (Slideshow)
  • Construction Party for Zalando and Construction Companies (JPEG)


FundPatron Capital, L.P. IV
LocationUK
Inv. DateDecember 2011
Inv. StrategyUndervalued Property / Business
  • Portfolio of 48 convenience retail units and associated petrol filling stations ("PFS") located across the UK, with >50% located in London, the South East and the South West of the UK; 38 freehold, 1 part freehold / part leasehold and the remaining 9 are leasehold.
  • Additional 11 sites acquired in early 2013 bringing total portfolio to 59.
  • This investment was made in a joint venture with Scottish Capital Group and a new management team who have over 450 PFS acquisitions, turnarounds and management to their credit.
  • Motor Fuel Group Website


FundPatron Capital, L.P. IV
LocationMalakoff, France
Inv. DateJuly 2013 June 2013
Inv. StrategyUndervalued Assets
  • 20,000sqm office complex single-tenanted located in Malakoff (South/South West of Paris)
  • Main strategy is to refurbish vacant part of the building in exchange for a lease extension
  • In parallel implementation of a clean-up process of the corporate structure with the aim to improve both the liquidity and marketability of the asset


FundPatron Capital, L.P. IV
LocationUK
Inv. DateNovember 2012
Inv. StrategyDistressed
  • Mixed portfolio of 24 office, industrial and retail properties acquired from distressed institutional seller.
  • Sub-sale of 9 assets with lower yields and little value add potential to institutional investors.
  • Retained portfolio of 15 assets - ca. 1.35m sq. ft. lettable area principally in London and South East; comprises offices (60%), retail warehousing (8%), distribution warehouse (25%), high street retail (2%), multilet industrial property (5%).
  • Business plan focus on improving strong cash flow yields and lease-up of vacant areas through active asset management and dedicated capital expenditure.
  • Disposal program over 4 year period for stable and stabilised assets.


FundPatron Capital, L.P. III
LocationAachen, Germany
Inv. DateNovember 2007
Inv. StrategyNon Core Assets
  • Large industrial park with 170,000m² GLA with significant part let to Philips GmbH on a 10 year lease
  • Total site area of 310,000m² including 25,000m² potential development land
  • Leaseup potential for remaining office, storage and production space
  • Located in Aachen, Germany - secondary city near border with Belgium and Netherlands - attractive logistics location
  • View Website


FundPatron Capital, L.P. III
LocationPan-European
Inv. DateAugust 2008 (initial)
Inv. StrategyDistressed Sellers
  • Residential Distressed Program comprises 3 investments in residential mortgage backed securities, 2 in the UK and 1 in the Netherlands
  • Investments include both senior and mezzanine tranches
FundPatron Capital, L.P. III
LocationUK
Inv. DateDecember 2007
Inv. StrategyDistressed Business


FundPatron Capital, L.P. III
LocationManchester, England
Inv. DateAugust 2010
Inv. StrategyNon Core / Undervalued Assets
  • Acquisition of a complex of 5 connected commercial real estate assets in central Manchester, UK, held on a long leasehold basis
  • Complex includes:
    • The world renowned 21,000 person capacity MEN entertainment arena, the second largest indoor arena in the world based on 2009 ticket sales
    • 149,000 ft2 of office area in two buildings
    • Retail elements
    • c.a. 1,250 space car park structure
  • Very strong local partner Development Securities PLC (publicly listed property company) with considerable experience and first rate reputation


FundPatron Capital, L.P. III
LocationBarcelona, Spain
Inv. DateNovember 2010
Inv. StrategyUndervalued Assets
  • Acquisition of 3 residential blocks of apartments in Barcelona comprising:
    • 208 flats of 1, 2 and 3 bedrooms (14,700 sqm)
    • 6 retail units (600 sqm)
    • 230 parking spaces and 14 storage rooms
  • Asset management team has proven track record
  • Poblenou Slideshow - April 2011
  • Poblenou Press Articles - 15 January 2012 and 29 January 2012


FundPatron Capital, L.P. III
LocationLeipzig, Hannover region
Inv. DateAugust 2008 (initial)
Inv. StrategyUndervalued Assets

Katharinenstrasse / Hainstrasse

Wolfenbuettel

  • Recently purchased department-store building in the prime retail area of Wolfenbuettel, a city near Hannover
  • The property currently offers 8,600 sq m of retail space
  • Major retailers have already indicated strong interest in the redeveloped spaces - total expressed interest in the scheme of over 11,800 sq m

Braunschweig

  • Recently purchased department store building in the prime retail area of Braunschweig, nr Hannover
  • Currently fully let to Karstadt and offers 3,200 sqm of retail space

Bruhl

  • Recently purchased office building within Leipzig's inner ring road in direct proximity to the main station and main square
  • Approximately 8,900 sqm GLA


FundPatron Capital, L.P. III
LocationUK
Inv. DateAugust 2008 (Liverpool Assets)
Inv. StrategyUndervalued Property / Business


FundPatron Capital, L.P. II
LocationBirmingham, Croydon, Manchester, Sheffield, Leeds
Inv. DateJuly 2005 (initial)
Inv. StrategyUndervalued Assets

Delek

  • A 55% holding in a corporate vehicle with Princeton Investments as operating partner and Israeli oil company Delek Belron owning the balance of 44%. Entity holds four office buildings located in Croydon, Manchester, Birmingham and Sheffield:
  • Delek JV Press Release

Centre City

  • Centre City is a large (207,393 sq. feet) multi-tenanted 1960's office tower located in Birmingham's inner ring road. The asset serves as the regional headquarters for various tenants including Legal & General who are mostly on reversionary leases
  • The building needs active management to take advantage of its proximity to the new Bullring shopping centre
  • Centre City Refurbishment - October 2006 (PDF)

Croydon NLA Tower

  • The NLA Tower is a landmark concrete office tower (170,000 sq. feet) built in the early 1970s located adjacent to a major regeneration site
  • In the process of current refurbishment and reletting
  • No. 1 Croydon Images - June 2008 (Slideshow coming soon)
  • Croydon Refurbishment - May 2007 (Slideshow coming soon)

Manchester - "SimChem House" - Sold

  • SimChem House is a 1960s office building (79,444 sq. feet) in a prestigious residential suburb of Manchester
  • The asset is let on a 16 year lease to a UK plc, former sister company to Simon Storage, with a guarantee from its parent, a blue chip Singaporean holding company
  • The building's current use as a UK plc head office is inappropriate due to its condition, functionality, and image. The intention is to refurbish and re-clad for tenant in exchange for a re-gearing of the lease

Sheffield - "City Plaza" - sold

  • City Plaza is a multi-tenanted 1970's office tower (117,830 sq. feet), with a mix of medium to long term leases and strong covenants
  • This building is the anchor of the portfolio for loan security and gives the ability to generate higher leverage at a lower margin
    The building is a popular tenant choice in comparison to generally low quality stock in Sheffield.
  • Tenants in the building will be actively managed and common areas will be refurbished

 

Cloth Hall - sold

  • Acquisition of portfolio of 2 office buildings (Cloth Hall A and Cloth Hall C) with a total of 101,524 square feet in Leeds City Centre
  • Acquired 100% occupied with under market rent levels
  • Top quality covenants (Ernst & Young and Eversheds)
  • Opportunities include:
    Cloth Hall A Building - Refurbish interior to A credit level once Eversheds vacates in 2007 and raise rents to market level, planning permission granted
    Cloth Hall C Building - Refurbish interior to A credit level and raise rents to market level
  • Sold both buildings to separate buyers in Autumn 2007
  • View New Plans (PDF, 6.7MB)

City Plaza

Birmingham - "St. Philips Point"

  • Comprises of approximately 96,000 sq ft, 9 storey mixed-use (office and retail) building located in the centre of the CBD of Birmingham
  • Strategic repositioning plan includes:
    •  Refurbishment on vacant office floors - completed
    •  Refurbishment of lower floors including removal of escalator and creation of 4,500 sq. ft of new office space and 2,000 sq. ft of retail space - all completed
  • The attraction of this investment is its absolute prime location in central Birmingham, opportunistic repositioning of retail into office to achieve highest and best use, and potential for substantial ERV gain post refurbishment programme
  • This investment by Patron represents the third investment in Fund II in its UK Small Office Program which currently holds the Delek portfolio located in Croydon, Sheffield, Birmingham and Manchester and the Cloth Hall building in Leeds
  • St. Philips Square Office Launched! (View Brochure)
  • View More Images of St. Philips Square Office (View Slideshow)


FundPatron Capital, L.P. II
LocationFrance (mostly Paris)
Inv. DateJuly 2005 (first portfolio)
Inv. StrategyNon Core / Undervalued Assets

Vectrane - sold

  • Initiated with pursuit of single larger office building
  • Acquisition in mid 2005 of a portfolio of eight buildings / assets in France
    • Office portfolio - three in and around Paris, one in Lille
    • Leisure portfolio - two large Center Parcs, and two smaller hotels in Courchevel
  • Asset improvements include substantial refurbishment and rental of large office tower, plus targeted tenant led expansions in other office and active capex program with Pierre et Vacances on leisure properties
  • Targeted plan to build company and list in public markets
  • IPO in 2006
  • Patron Acquires Large French Property Portfolio - July 05
  • Vectrane Lists in Paris - November 2005
  • Vectrane IPO Success! Press Release - December 2005 (English) (French)
  • Patron Sells Vectrane Shares - March 2007 (Press Release)


FundPatron Capital, L.P. II
LocationMilan, Italy
Inv. DateMarch 2005 (first property)
Inv. StrategyUndervalued Property
  • Investment in a joint venture partnership whose strategy is to invest, on a leveraged basis, in the development and trading of semi-industrial and assembly warehouse projects in Western and Central Europe.
  • All projects 100% leased in advance to good credit tenants on 10 year+ leases
  • Principal JV partner is IIG, a private Belgium based company whose main activity is the origination, investment, development, management and advisory of the above projects
  • 3 projects undertaken; 2 completed and sold, 1 remaining (Panalpina)


FundPatron Capital, L.P. II
LocationBarcelona, Spain
Inv. DateMay 2005
Inv. StrategyUndervalued Assets

Investment in a mixed-use portfolio from Colonial the real estate arm of La Caixa, the largest savings bank in Spain, comprising:

  • 244 residential flats (29,250 sqm)
  • 28,617 sqm of office space
  • 3,829 sqm of retail stores
  • 33,930 sqm of parking space (898 units)
  • 6,000 sqm of warehousing space
  • Prime position in Barcelona residential market, exhibiting robust demand and scarcity of space
  • Joint venture with local partners with lengthy experience in the BCN market
  • Strategy is combination of longer term hold on residential, combined with refurbishment and reletting of office and retail space
  • Patron Acquires Residential Portfolio for €207,500,000 (Press Release)
  • Spanish Press Articles


FundPatron Capital, L.P. II
LocationAcross Germany
Inv. DateAugust 2006
Inv. StrategyUndervalued Assets
  • Purchased 1,004 railway station buildings and land throughout Germany
  • Total lettable sqm ca 400,000sqm, ca 65% vacant, total land area ca 1,570,000sqm. Main tenant is Deutsche Bahn, German state owned railway operator
  • "Frankfurt Ost" Station, located on a core development location close to centre of Frankfurt


FundPatron Capital L.P. I
LocationBarcelona, Spain
Inv. DateDecember 2001
Inv. StrategyComplex Situation
  • Parent company (Sogo) went bankrupt forcing liquidation

  • Assets trapped in complex corporate structure with management contract on hotel

  • Via corporate investment, acquisition of mixed use portfolio of approx. 1.2 million square feet consisting of:

    • 44-story, 482-room, 5-Star Hotel Arts

    • 12,375m² Office Building

    • 13,084m² Retail Building

    • 3,611 sq.m Land Parcel

  • Deal won "International Hotel Deal of the Year" in 2001 and Harvard Business School case study notes its success despite adversity

  • Effective exit achieved via sale of office building, land plot, most of retail, massive underground parking, refinancing of hotel and sale of approximately 95% of Patron's original interest into retail limited partnership structure

  • 2nd refinancing completed early 2006 with proceeds expected in mid 2006

Hotel Arts Sold! (Press Release) (Spanish Press Articles)

Hotel Arts Spa and Pool Development

New Renovation Progresses Well

Hotel Arts Barcelona Website

Harvard Business Online
Harvard Case Study



FundPatron Capital L.P. I
LocationBratislava, Slovakia
Inv. Date
Inv. StrategyComplex Situation
  • Acquisition of:

    • Hotel - 168 room four-star Carlton;

    • Office - 10,862m² known as the Carlton Commercial Centre (7 floors, 20 tenants) and 52-space car park;

    • Retail - 1,451m² retail space; and

    • Parking - 417 space public car park over 4 levels on a 30 year long-term contract

  • Flat assumptions on hotel performance and no individual asset break-up

Radisson SAS Bratislava Carlton Hotel Website

Tombstone

The Story of the Carlton

Financial Times Article

The Bratislava Carlton Hosts President Bush, The White House and State Department in summit with Putin

President Bush Addresses Slovakian Citizens

Letter from President Bush to The Bratislava Carlton



FundPatron Capital L.P. I
LocationPrague, Czech Republic
Inv. Date
Inv. StrategyNon Core Assets
  • Modern office building in prime location
  • 8,866m² lettable space plus 3 underground parking floors
  • Key goal was to convert key tenants, including Prague Stock Exchange and related parties to long term leases (50% of leases)
  • Anticipated significant yield compression due to lease conversion (at outset), refurbishment and active management
  • Short-term strategy possible due to immediate value creation

 



FundPatron Capital L.P. I
LocationLondon, England
Inv. Date
Inv. StrategyDistressed Asset
  • Acquisition of a 5-floor, 39,446 sq. ft. building in Covent Garden, central London
  • Unusual building (for a period building on famous street in Conservation Area, Covent Garden) due to size, location, 3 independent elevator shafts and large floor plates. Original underwriting of office use with potential residential conversion
  • Patron determined alternate plan for student housing due to dramatic worsening of the office market and failure of local partner to convert existing office into residential
  • Planning authorities liked change of use and allowed additional 2 floors to the top, bringing total square footage to 46,000 sq. ft from 39,500 sq. ft.
  • Agreed all terms and signed for long term lease with the London School of Economics
  • Agreed and signed detailed fixed price contract for construction


FundPatron Capital L.P. I
LocationDortmund, Berlin, Hamburg, Leipzig
Inv. DateDecember 2004
Inv. StrategyUndervalued Assets

German Office

  • Purchase of three office buildings in Germany:
    • Hansastrasse, Dortmund, 19,000 m2 (Sold
    • Silberstrasse, Dortmund, 4,200 m2 (Sold
    • Bismarckstrasse, Berlin, 3,300 m2 (Sold)
  • Mixed strategy, including:
    • Lease up vacant spac
    • Significant refurbishmen
    • Wait for market recovery in Berlin
    • Sell buildings individually

German Retail

German Retail / Office

  • Purchase of 20,000 sqm monumental building in prime retail location in the centre of Leipzig. The Investment Strategy will involve a redevelopment of the assets into a mixed use building, of which the majority of the rental income will come from prime retail space on the ground floor. The building was purchased for only slightly above land value, allowing us to fully leverage the redevelopment potential.
  • Leipzig Retail Refurbishment in Progress (October 2008)
  • Handelshof Refurbishment Photos (August 2008) (January 2008)


FundPatron Capital L.P. I
LocationUK
Inv. Date
Inv. StrategyBusiness Below Intrinsic Value
  • One of the leading players in the attractive mortgage market in the UK
  • One of the largest MBOs in the UK for 1999
  • Growth from >£450m to >£1.6 billion in assets
  • Growth from >£30m to >£105m+ a month in originations
  • Partners include Royal Bank of Scotland and management
  • Lenders include Morgan Stanley, Greenwich Natwest, and Barclays Capital
  • View igroup Website




FundPatron Capital L.P. I
LocationBuxton and Droitwich, UK
Inv. DateOctober 2002
Inv. StrategyNon Core / Undervalued Assets
  • Purchase of two shopping centres in the English Midlands
  • Spring Gardens Shopping Centre, Buxton: 89,000 sqft, 28 units
  • Salters Shopping Centre, Droitwich: 140,000 sqft, 45 units
  • Strategy is partial sale of land plot and to improve rents to market as leases come due
  • Bought in partnership with Dawnay, Day & Co.
  • Morley Shopping Centres Exited Early (View Press Release)



FundPatron Capital L.P. I
LocationPoland
Inv. DateJuly 2004
Inv. StrategyDistressed Assets
  • Significant Polish country wide non-performing loan problem (17% of total assets, in excess of $10 billion)
  • Acquisition of NPL portfolio from Deutsche bank and associated servicing of both this and a similar portfolio


FundPatron Capital L.P. I
LocationMilan, Italy
Inv. DateAugust 2001
Inv. StrategyUndervalued Assets
  • Acquisition of an Italian lending bank
  • Principal asset is a six-floor office building in central Milan (3,186 m2)
  • Other assets include portfolio of non-performing loans and other financial assets
  • Acquisition price represents value of building
  • Building sold in January 2002
  • Bank sold in February 2007 (View Press Release)


FundPatron Capital L.P. I
LocationAcross UK
Inv. DateJanuary 2003
Inv. StrategyOperating Business / Assets Below Intrinsic Value
  • Acquisition of a liquid and chemical storage business
  • Market leader in the UK, with 497 tanks and 956,000 m3 of capacity
  • Steady long-term cash flow, with creditworthy tenants
  • Strategy is to stabilise business, recapitalise with better capital structure, and grow earnings primarily through acquisitions
  • Sold in October 2005 (View Press Release)
  • Biofuels plant - latest progress at Simon Storage, Seal Sands (View Image)
  • Simon Storage Case Study


FundPatron Capital L.P. I
LocationInterlaken & Leukerbad, Switzerland
Inv. DateJune 2001
Inv. StrategyDistressed / Undervalued Assets

Interlaken

  • Acquisition of a 101-room, 5-star hotel in Interlaken, Switzerland
  • Acquisition Cost of CHF 17.3m
  • EBITDA of CHF 1.7m (in bankruptcy)
  • Part of Swiss Hotel strategy, following Leukerbad
  • Two exit options:
  • Sale & leaseback with sale to the pension fund / German retail market
  • Hold and exit as performance is enhanced
  • Interlaken Hotel Website
  • Interlaken Hotel listed on Tchibo

Leukerbad



FundPatron Capital L.P. I
LocationBirmingham and Leeds, England
Inv. DateJuly 2004
Inv. StrategyNon Core / Undervalued Assets

Cobalt Square (sold)

  • 17 floor, 73,118 square foot office building in Edgbaston, Birmingham
  • Patron Capital and Princeton Investments Acquire Hagley House (Press Article)
  • Significantly vacant building. Refurbishment, relet and exit
  • Refurbishment Plan Photos (PDF) (Slideshow)
  • Refurbishment Plan Photos - January 2005 (Slideshow)
  • Cobalt Square Brochure

York Place (sold)

  • 17,000 square foot office building in Leeds
  • Grade II listed building in Central Business District
  • Relet, refurbishment and exit
  • Refurbishment Photos - August 2006 (PDF)


FundPatron Capital L.P. I
LocationAcross Spain
Inv. DateSeptember 2005
Inv. StrategyNon Core / Undervalued Assets

Patron acquired 13 non-core assets out of an original  65-asset portfolio sold by Dinosol. The assets in the portfolio comprised:

  • 5 Ahold-tenanted supermarkets ("A")
  • 8 vacant supermarkets ("B")
  • 4 excess parking lots ("C")

  • Strategy for the above focused on:
  • "A" - yield compression achievable on individual assets sales plus refurbishment and sale of vacant floors and parking on three properties
  • "B" - refurbishment and conversion to smaller units for re-lease and sale
  • "C" - small part of portfolio, sale of individual plots

  • Attractive properties in strong locations with good re-letting potential following work-out where appropriate